Stocks rebounded Thursday after a wave of central-bank hikes and Federal Reserve Chair Jerome Powell’s second day of testimony to Congress took center stage in the financial world.
After slumping much of the day, the S&P 500 (^GSPC) finished up 0.37%, while the Dow Jones Industrial Average (^DJI) ended just below the flatline. The tech-heavy Nasdaq Composite (^IXIC) led gains, popping nearly 1%.
The Bank of England’s decision to increase UK interest rates by an outsized 50 basis points to 5% underlined the determination of policymakers worldwide to combat inflation. Earlier Thursday, Norway and Switzerland hiked rates to levels not seen for long over a decade. For his part, Powell reiterated the Fed’s plan to continue hiking this year.